One type of loan that you may qualify for through an institutional lender is an SBA loan. Institutional lenders will also do not-SBA loans, but usually, the terms of those loans are not quite as favorable as the SBA loan. The reason they’re not as favorable usually is that the lender is taking more risk. They don’t have the guarantee of the SBA. That’s something that should be explored.
Normally when lenders are lending money to a business, they want to secure that loan against collateral. Oftentimes that will be real estate. For instance, let’s say that you have a design firm. You want a building to constitute your office space, but also to be a showpiece. You want this to really be a beautiful office that you’re going to do business in. Those offices can be very expensive especially if you’re going to finish them out with all of the finer details. That kind of a business owner is going to encounter the question of, “Do I want to buy this building? It would be nice to own my building if I’m going to put all of this into it. Or do I want to lease it?”
You may be able to buy that building, even though you may not have anywhere near the cash you need to take down the purchase of that building. A bank may be willing to finance that purchase by taking the building as collateral or as security for their loan. Normally in these kinds of loans, the banks are also looking to secure the loan with basically everything the business has. They’ll take a lean on the building, and they’ll also take a lean on the receivables of the business, and they’ll also take a lean on the equipment that the business owns and every category of property that you can imagine, they’ll want a lean on. They want to get paid if you don’t pay according to the terms of your loan agreement with them.
Performance Finance – Leasing, Hire Purchase & Loans
We’re a specialized lender for Medical & Paper professions, providing competitive finance for business & personal use. We provide Hire Purchase, Leasing & Loans for the business use, and a variety of Personal Loans for anything outside the practice. Our aim is not only to be competitive, but also to advise on the best tax breaks, so we can make your money work harder for you. We have a friendly and experienced team who are always keen to help and make things as smooth and easy as possible.
We genuinely want you to enjoy dealing with us. Performance Finance made it very easy getting the finance through, and also apportioning the VAT for the finance over a period of 5 years, so they were very good in terms of sorting out the VAT issues that we have with the practice move. Performance Finance was instrumental in the move, they have helped us with the financing of the equipment, the shop-fit, the building work.
The other technology that we’ve got in the practice is a lift for the patients, and that’s been very useful for elderly and disabled patients. They are able to go downstairs now to our second consulting room which we didn’t have room for in our first practice. From day one they have made the process very easy, very simple and we couldn’t have asked for anything better. Performance Finance is my preferred finance house because I find the speed that they turn round our applications, the application is put in place and the money delivered is phenomenal.
We use the finance for extensive facilities here on Harley Street; we have state of the art rooms, chairs, equipment, a decontamination suite, C.T Scanner, furniture everything you really need for 6 floors, 9 surgeries and a team of 35 on Harley Street in the West End. The major factors I look for in choosing finance house such as Performance Finance is the Tax relief, the ease of the application, and how they can actually speak with the suppliers themselves, it gives the supplier comfort knowing that they have a well-renowned finance house behind them. Everyone at Performance Finance takes pride in their work, and we know you will see the quality of our service when you contact us.